PBOC Halts Virtual Credit Cards And Mobile Payments In China

The People's Bank of China has issued an emergency alert to stop the use of virtual credit card products as well as two-dimensional code payments that are often used with mobile devices.

Chinese Internet companies like Alipay and Tencent previously launched such services. However, neither company has given any comment on the situation.

The emergency alert published by PBOC stated that offline barcode (two-dimensional code) payments inhibit the business model of traditional terminal companies and their risk control level is directly related to the information security and fund security of users. Virtual credit cards infringe on the business models of existing credit cards and their capability of locating customer identification and safeguarding customer information has yet to be researched.

PBOC requested that businesses related to offline barcode payments and virtual credit cards shall be suspended immediately and effective measures shall be applied to ensure the smooth transition during the business suspension period.

Your email address will not be published. Required fields are marked *

Comment

Name *

Email *

Website

Free Tech Email Newsletter

Email:

Upcoming Events

If you would like to syndicate these articles and posts for personal non-business use where you will not gain in any monetary way, please utilize the RSS feed for this online publication, which provides a brief summary of each post with a link back to the original article. Posting of any other part of the articles or posts on this website, in whole or in part, is expressly prohibited without express written permission from ChinaTechNews.com. ChinaTechNews.com is a service of Asia Media Network.